Accountants, businessmen and individuals always encounter issues on the kind of expenses that are deductible in the allowance which may minimise the profits tax liability. This workshop will aim to help you understand the types of deduction of expenses and depreciation.

This workshop will also provide you with an overview of the deduction of expenses under profits tax, and understand how to minimise the profits tax payable through a good understanding of deduction of expenses under profits tax.

Key topics covered:

Deduction of expenses under profits tax in general

Special treatment for deductions on interest, legal fee and exchange differences

Certain expenses of capital or private nature initially not deductible under profits tax but become deductible under specific provisions in Inland Revenue Ordinance

Treatment of the cost of purchase of plant and machinery and its interaction with depreciation allowance

Treatment of cost of purchase of building (industrial building allowance and commercial building allowance) and its interaction with repair, refurbishment and improvement

Trainer profile:

Patrick Ho, LL.B, LL.M., MBA, MCS, FCCA, FCPA

Barrister-at-law, Principal Lecturer, FTMS Training Systems (HK) Limited. He is the sole author of the book “Hong Kong Taxation and Tax Planning”, and has more than 35 years’ experience in tax practice, university teaching and in-house teaching in all the Big 4.

Learning objectives

Know the deduction of expenses under profits tax in general

Identify special treatment for deductions on interest, legal fee and exchange differences

Understand treatment of the cost of purchase of plant and machinery and its interaction with depreciation allowance

Understand treatment of cost of purchase of building (industrial building allowance and commercial building allowance) and its interaction with repair, refurbishment and improvement

Audience

This workshop is suitable for commercial accountants, auditors, tax professionals and those who are interested in applications of profit tax principles as well as deduction and depreciation allowance.